Many property investors are attracted to the concept of flipping a rehabbed home. Rehabbing a property that needs some fixing up can present an exciting challenge. It can also lead to a great profit if things go well. Keep in mind that property rehabbing and flipping is not as glamorous as it is made to look on TV shows. This process can be difficult and frustrating but, if you’re up for the challenge, you can make a solid profit on a rehabbed home.
Selling a rehabbed home is unique and some of the sales tips that apply to other types of property sales may not work in these cases. However, there are some things that you can do to make sure you are getting top dollar for your rehabbed home.
You can’t simply fix up a property, throw it on the market and expect great offers to start coming your way. You’ll have to put in some work and sustained effort to get set up to attract the right kinds of buyers and offers. Before you purchase a property to flip, carefully study surrounding neighborhoods and the local housing market. Study recent property sales and talk to real estate agents to find out what things buyers are looking for at that time. Pay attention to how quickly certain homes sell and find out what made them so attractive. This will help you find out what you need to do for your rehabbed home in order to get the best offers.
Homebuyers are attracted by luxurious touches in a property but value is foremost in their mind. The average homebuyer won’t be coming into a home deal with an extravagant budget. You’ll need to get into the mind of a buyer to consider what types of upgrades you can perform on a home while still attracting buyers at a reasonable price range.
You don’t need to completely overhaul a rehabbed home with brand new upgrades in every case. Sometimes, a few simple touch-ups, some landscaping and interior decorating are all that it takes to attract the right deal. Strive for a good balance of features and value.
You’ll likely be tempted to wait until your rehab is completely done before you list the home. However, you can start listing in the middle of your rehab project. Make sure that you reach out on social media and to people in your network to generate interest. Explain the rehab process to buyers and help them get an accurate idea of how your property will look when it’s all done. The sooner you generate interest, the more offers you can attract.
The truth is that you won’t make a huge profit on every rehabbed home. Avoid the impulse to set a price too high, as this will drive buyers away. Research the local housing market to settle on a price that is fair but will still help you find a profit.
Rehabbing a home isn’t always easy but using these steps will help you earn your money’s worth.